The Trump administration sued California on Thursday, targeting the state's regulations that require automakers to sell increasing numbers of zero-emission vehicles.

The U.S. Department of Justice, acting on behalf of the National Highway Traffic Safety Administration, filed the case in the U.S. District Court for the Eastern District of California. It challenges rules adopted by the California Air Resources Board under the Advanced Clean Cars program, particularly the zero-emission vehicle mandates and tailpipe greenhouse gas emissions standards. The suit argues these standards function as unlawful state-specific fuel economy requirements, preempted by the Energy Policy and Conservation Act, which reserves such regulation to the federal government.

Attorney General Pamela Bondi said the mandates "drive up costs for American consumers and violate federal law." Transportation Secretary Sean P. Duffy added that California is pushing a "radical EV fantasy – even if doing so is illegal." NHTSA Administrator Jonathan Morrison stated the litigation would allow automakers to meet a single federal fuel economy standard, correcting past policies that created a "patchwork quilt of individual state requirements."

California's rules, part of Advanced Clean Cars I, remain in effect after Congress revoked Advanced Clean Cars II last year through resolutions signed by President Trump. The standards require automakers to achieve escalating zero-emission sales, aiming for 100% of new passenger vehicles and light trucks to be zero-emission by 2035, alongside stricter tailpipe emissions limits. The state received EPA waivers under previous administrations to exceed federal standards, influencing more than a dozen other states.

This lawsuit escalates a long-running battle. President Trump previously sought to revoke California's EPA waiver during his first term and signed legislation last year overturning parts of the EV mandates. California responded by developing Advanced Clean Cars III and offering incentives for compliant manufacturers.

Gov. Gavin Newsom's office called the suit "meritless," stating California would continue to compete globally in the clean vehicle market. The state argues its rules deliver fuel savings outweighing higher upfront EV costs.

The administration ties the action to its "Freedom Means Affordable Cars" initiative, projecting $109 billion in savings for families over five years by easing federal fuel economy standards. Automakers face pressure to adjust production nationwide to meet California's demands, potentially raising prices and limiting consumer choice, according to the complaint.